Our vision is to become the ultimate online gifting companion in our core geographical markets
Our goal is for our brands to become synonymous with gifting in their respective markets. We have already evolved from the online leader in personalised greeting cards into a card-first gifting platform, and are leveraging data science capabilities to become a holistic online gifting companion. We are growing our share of the gifting market and becoming the destination of choice for customers celebrating all the important occasions and events in their lives.
We believe that our high brand awareness, large and loyal customer base and strong customer acquisition capabilities provide a strong foundation for achieving this objective and intend to leverage our powerful data and technology platform to continuously enhance our customer proposition, expand the active customer base, and increase customer lifetime value.
Capitalise on the structural shift to online with continued growth in the customer base
Continued customer acquisition, and in particular continuing to win customers migrating from the offline to online channel forms a key part of our growth strategy. There are estimated to be 53.8 million1 card purchasers in our core markets of the UK and the Netherlands according to OC&C, representing a large untapped pool of potential customers for us to win.
We will continue with our "card-first" customer acquisition strategy, leveraging our strong brand awareness and reputation to bring new customers onto our platforms. We believe that our differentiated gifting ecosystem and platforms foster a strong sense of customer loyalty and meaningfully support our customer retention efforts, with 89% of our revenue in the year ended 30 April 2024 derived from existing customers. We strive to ensure that we deliver an intuitive and up-to-date user experience and offer our customers the most convenient delivery options and industry leading cut-off times.
Drive growth through the existing customer base
We believe we have a significant opportunity to drive strong, continued growth from our existing customer base by increasing our share of the customer wallet and encouraging higher gift-attach rates.
In the year ended 30 April 2020, the Group’s active customers were each estimated to purchase, on average, 23 cards per annum1, of which just 3.3 were estimated to be purchased from us, according to OC&C and management estimates. We believe that through a combination of enhancing the product offering through its Global Design Platform, expansion of the gifting range, a focus on convenience through adoption of the app, and using data insights to personalise the customer journey, we will be able to increase the penetration of our customer base’s annual spending on occasion-based gifting.
Continuous enhancement of the technology platform and data science capabilities to deliver a personalised app-first customer journey
We believe that our strong data science and technology expertise, along with our platforms, are key points of differentiation which enable strong customer acquisition and retention. Last year, we completed a multi-year project to unite Moonpig and Greetz onto a single technology platform. This freed most of our technology teams to focus on innovation and experimentation, driving an acceleration of the pace at which we deploy new features.
Both Moonpig and Greetz leverage scalable, custom-built technology and proprietary algorithms optimised across millions of data points. As we gather more data on gifting intent, we can provide increasingly relevant gift recommendations to our customers, thereby driving revenue growth. We are leveraging technology to drive higher customer lifetime value and have further enhanced our use of AI to personalise customer experience.
1. Source: OC&C, estimates - download the December 2020 Market Report here.